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EU's Ashton urges Israel to extend settlement freeze

The European Union's foreign policy chief urged Israel on Friday to extend its moratorium on settlement construction in the West Bank - joining the United States in a feverish attempt to prevent a breakdown in Middle East peace talks, dpa reported.

"Only ongoing talks can lead to a solution," EU High Representative Catherine Ashton told reporters in Jerusalem before ending a two-day visit to the region.

Ashton held talks in Ramallah on Thursday with Palestinian President Mahmoud Abbas and on Friday with Israeli Prime Minister Benjamin Netanyahu, hoping to help them overcome the settlement hurdle.

The Palestinians want Israel to extend the 10-month partial freeze on Israeli construction in the occupied territory that expired last Sunday. They have threatened to end the peace talks, which started in early September, if it does not.

Netanyahu, due to what observers say are coalition restraints, has so far made no moves to extend the moratorium, despite calls from world leaders to do so.

"I have urged Israel to continue the moratorium and allow the talks more time to make progress," Ashton said.

The parties helping in the peace process are concerned that permanently ending the moratorium could "risk the possibility of long-term peace," she added.

Ashton said she travelled to the region to show "my personal commitment and that of the EU to the continuation of peace talks - talks that would lead to viable two-state solution within one year."

The visit featured "positive and constructive dialogue" with Abbas, Netanyahu, Palestinian Prime Minister Salam Fayyad and US peace envoy George Mitchell, she said.

Mitchell has been in the region since Tuesday, shuffling between Jerusalem and Ramallah in hopes of preventing a Palestinian walkout.

He again met Netanyahu in Jerusalem Friday morning, before travelling to nearby Ramallah for talks with Abbas, and was expected to meet once more with Netanyahu later Friday.

Mitchell's efforts came amid reports that Netanyahu rejected an offer from Washington to give him a "presidential letter" of assurances in exchange for extending by two months the moratorium.

Washington wants to reach a compromise on the issue before an Arab League committee meeting initially scheduled for Monday - but likely to be postponed until Wednesday - at which the bloc will decide whether to extend its support for the direct negotiations.

The US State Department denied the existence of the letter of guarantees, with spokesman PJ Crowley saying Thursday that "there was no letter to the prime minister."

But the Washington Institute for Near East Policy, citing senior US officials, reported that Obama had sent Netanyahu the letter offering the future sale to Israel of advanced missile systems and another squadron of F-35 fighter planes.

It said Obama additionally promised to veto any Palestinian or Arab resolution before the United Nations Security Council for one year, while guaranteeing US commitment to other Israeli security needs too.

Washington reportedly also said it would not again call on Israel to extend the freeze beyond the 60 days it was requesting.

Israeli newspapers on Friday reported of a similar document. The biggest-selling Yediot Ahronot daily said it also expressed US support for leaving Israeli troops in the Jordan Valley for an unlimited period.